The Chandigarh Industrial and Tourism Development Corporation Limited (CITCO), already struggling with financial challenges, has incurred an additional loss of ₹85 lakh over the past year, primarily due to official negligence and mismanagement. A private telecom company, with a mobile tower at Hotel Parkview in Sector 24, has failed to pay rent for the past 11 months, exacerbating CITCO’s financial woes.
Despite the telecom company’s contract expiring in May 2023, CITCO extended the agreement for another year, increasing the rent by 10% to ₹1.20 lakh per month. However, the telecom firm indicated its refusal to accept the new terms and conditions and stopped paying rent after September 2023. Records show that despite the non-payment, CITCO officials took no significant action to resolve the issue.
In February 2024, CITCO issued a fresh tender for the site, but only the same telecom company participated, reflecting the lack of competition and interest in the site. The matter was discussed in a board of directors meeting, where an official suggested lowering the rent to ₹80,000 per month to retain the telecom company. However, the board rejected this proposal, leading to a loss of nearly ₹15 lakh.
Adding to CITCO’s financial troubles is the ongoing vacancy of a ‘Chaat shop’ at the Sukhna Lake complex. The shop, which previously generated ₹7.8 lakh per month, has been lying vacant for eight months, resulting in a loss of ₹64 lakh. Furthermore, a coconut-water kiosk at Sukhna Lake, once a profitable venture bringing in ₹2 lakh monthly, has also been left vacant for the past three months. CITCO has recently taken over its operations, employing three staff members at a monthly salary of ₹30,000 each, but the kiosk continues to operate at a loss.
CITCO has been without a regular managing director for the last 2.5 years, with the position being managed through interim arrangements. The absence of a permanent managing director has significantly impacted the corporation’s efficiency and accountability. The Federation of Sectors’ Welfare Association (FOSWAC) chairman, Baljinder Singh Bittu, emphasized that the lack of regular leadership is taking a toll on CITCO’s operations, resulting in financial losses and deteriorating service delivery.
Efforts to reach CITCO’s current managing director, Hari Kallikkat, for comments were unsuccessful despite multiple attempts via calls and messages. The ongoing financial mismanagement and the lack of effective leadership continue to hinder CITCO’s ability to overcome its financial challenges.
